cascade eng response_Essay - will be directly competing...

Info iconThis preview shows page 1. Sign up to view the full content.

View Full Document Right Arrow Icon
NBA 300 Cascade Engineering Response I believe that Fred Keller would be better off if he were to make an offer. If he does purchase the plant, then Cascade Engineering would become a major player in the industry with much room to grow. The company contract with Waste Management has been a major contributor to their past success. This decision will allow Cascade to compete more with the West Coast suppliers. This also minimizes the risk of financial troubles for Cascade in case their relationship with Waste management changes. However, I should point out that this is only possible because of the new contract with WM that leads to Cascade diversifying its customer base. To do this means that Cascade
Background image of page 1
This is the end of the preview. Sign up to access the rest of the document.

Unformatted text preview: will be directly competing with companies such as Ivan and Schneider. The sales revenues as well as the production levels of the company will increase significantly if they penetrate this market. The West Coast opportunities are great enough that I believe Cascade should try to purchase the plant even though the company may encounter some initial financial troubles as the result of the deal. The construction of a new plant may cost less, but it would also mean that cascade would not be able to start production for about 18 months. And even when production starts, it will initially be slow and make it difficult for Cascade to successfully break into the Wes Coast market....
View Full Document

This essay was uploaded on 02/19/2009 for the course NBA 3000 taught by Professor Bendaniel,david during the Spring '08 term at Cornell University (Engineering School).

Ask a homework question - tutors are online